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Overview of Operations

Construction Equipment Rental Business

Meet local needs and accomplish equipment rental's mission as social infrastructure.

The construction equipment rental business accounts for over 90% of the net sales of the Kanamoto Group. Through this core business, Kanamoto helps customers rationalize their operations. Beginning with engineering works and construction, we provide services to address all of the worksite concerns we hear in the field.

A full line-up of approximately 500,000 rental items, available throughout Japan

Kanamoto owns approximately 460 different models and 500,000 rental items. Naturally, this includes various hand tools and construction equipment, such as dump trucks and hydraulic excavators. But Kanamoto also stands prepared with items to satisfy every demand, from temporary housing materials and structures to electrical generators. In addition to various models, we make sure we offer an ample selection of sizes, plus a broad range of optional items. At Kanamoto, we continually enhance our product lineup and provide complete support, and customers have come to rely on Kanamoto as their one-stop partner for all their equipment and parts procurement needs.

Creation of a thorough maintenance organization at every branch

With approximately 170 offices nationwide, and more than 340
locations for the Kanamoto Group as a whole, Kanamoto is continuing to add branches while strengthening its alliance strategy. Ensuring that each base in areas where the Company continues to expand is staffed with maintenance personnel who boast the highest technical skills is a key Kanamoto standard. Day in and day out, our maintenance employees conscientiously perform their activities to ensure equipment will demonstrate its peak operating performance. This thorough maintenance enhances the asset value of equipment sold in the used equipment market.
The clearance sale value of our construction equipment is raised even further by the fact Kanamoto selects construction equipment that is in use around the world. Of course, one criterion used equipment purchasers will rely on when selecting products is that the parts and maintenance systems available in other countries are similar to the networks established in Japan. In order to meet this requirement, Kanamoto selects the leading construction equipment manufacturers in Japan. We will continue to provide thorough maintenance and make strict rental equipment selections, and build the Kanamoto brand on both rentals and secondhand equipment.

Practicing "Rent to Sale" through flexible operating decisions

The essence of Kanamoto's business model is to recover investment outlays through rental income following the introduction of equipment, which is ultimately disposed of through sales. One ongoing theme in the Company's operations has been to boost profit margins by easing the depreciation burden and extending the useable life of assets. For models that enjoy robust demand in the second-hand market, however, Kanamoto must temper its response to global market conditions. As a result, the Company's operations pivot on maintaining flexible assessments, attuned to circumstances, on whether to hold assets for the long term or to replace equipment relatively quickly.

From BtoB to BtoC

In cooperation with Komeri Co., Ltd., a major Japanese DIY company, Kanamoto is also developing its rental business targeting individual users. We have set up tool rental corners in seven Komeri Power Store branches, part of the do-it-yourself store network Komeri is developing, and stocked them with an ample equipment lineup ranging from tools for professional use to small construction equipment, to meet the needs of individual customers, small building contractors and farmers. Kanamoto is working to increase profit-making opportunities by expanding its business field from BtoB to BtoC.

Conforming to a range of needs with a full compen-sation system

Kanamoto has established a compensation system to fully protect customers against the risks of theft or an accident caused by its construction equipment and vehicles during the rental period. Moreover, in recent years, both the type of accidents that occur and the scope of compensation have grown more complex, generating increasingly diverse user needs. Kanamoto has responded by offering red-carpet service, including the assignment of inspectors to each region to reflect customer requests and perform investigations of compensation details.

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Other Businesses

"Kanamoto's business" creates earnings opportunities in many sectors.

Along with construction equipment rentals, Kanamoto is working to broaden earnings opportunities in
various sectors by developing operations such as its businesses related to the Steel Sales Division and
the Company's information and telecommunications-related division.

Steel Product Sales Business

Supply of the steel products that are indispensable for civil engineering works and construction

The steel products sales business was Kanamoto's core business when the Company was established, and can proudly be called Kanamoto's starting point. In addition to supplying general steel products such as steel bar and H-beams, sheet piles and single tube pipes mainly in Hokkaido, Kanamoto's Steel Sales Division handles contracts for various specialized works, including construction of ALC (autoclave lightweight concrete) exterior walls or insulation construction works, as well as the sale and installation of products such as "KT roof system" insulated waterproof roofing. By selling construction materials as well as undertaking construction work on consignment, we help customers to minimize complicated procedures and slash costs.
Since being established the Steel Sales Division has maintained a stable business, and today remains one of the leading suppliers in Hokkaido's steel products wholesale industry. In the years ahead, the division will continue to supply the high-quality steel products essential for engineering works and construction, including infrastructure construction, that support today's lifestyles.

Computing Products and Other Businesses

Kanamoto's IT rental business always offers the latest models

Kanamoto's Information Products Division has continued to achieve substantial results. These include being the first to offer for rent in Japan the IBM PC-AT, the most advanced model of its time and the forerunner for today's Windows machine standard, and being the second company in the world - and the first in Japan - certified by Sun Microsystems as a rental firm for Sun workstations.
Today Kanamoto continues to provide efficient hardware, as well as propose a variety of network solutions. The computer industry experiences remarkable progress in products and technologies, and Kanamoto continually develops services from our customers' point of view to ensure they can use the most advanced services available from both a hardware and software perspective.

Providing engineering-trained manpower

The Kanamoto Group has been developing its business to dispatch engineering-related R&D employees (specified worker dispatching undertakings) since 2008. Securing engineers in this specialized field, where knowledge and experience are a must, is a vital issue because it smoothly reflects customers' needs. This business comprises highly trained engineers with the skills to match the demands of many firms.

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